By Ying Xian Wong


Shares of gaming, lottery and alcohol stocks are higher in Thursday morning trade in Malaysia after political factions signaled support for a government led by secularists rather than an Islamic party.

Casino operators Genting Malaysia Bhd. and Genting Bhd. are 4.4% and 3.8% higher, respectively, while lottery operators Magnum Bhd. and Sports Toto Bhd. gain 7.8% and 5.0%, respectively. Brewery stocks are also up, with Heineken Malaysia Bhd. adding 2.1% and Carlsberg Brewery Malaysia Bhd. rising 2.6%.

The gains come after Barisan Nasional, one of Malaysia's three major coalitions, said that it will join a "unity government" that isn't led by a coalition that includes the powerful Malaysian Islamic Party. Analysts say Barisan Nasional's move is likely to pave the way for a government led by another major coalition, Pakatan Harapan, which is widely viewed as positive for equities markets.

Sin stocks had plunged on Monday after the Malaysian Islamic Party gained 49 out of 222 seats in a general election over the weekend.

Malaysia's benchmark index also gained on Thursday's news, adding 1.7% in morning trade, putting it on track for the fourth biggest one-day percentage gain this year.


Write to Ying Xian Wong at yingxian.wong@wsj.com


(END) Dow Jones Newswires

11-23-22 2246ET